Organized 1885

Official Organ of the Sailors' Union of the Pacific

Volume LXXV No. 4 SAN FRANCISCO, CALIFORNIA Friday, April 20, 2012 Navy League of the Cabotage enemies in Guam and Hawai’i U.S. backs essential seek legislation to amend the Jones Act he Jones Act is under at The Hawai’i Shippers Coun- “Although these arguments maritime programs tack again, with a Guam cil on April 12, refloated a pro- seem benign to those not in- The annual policy statement from the Navy League of the United Tpolitician sponsoring leg- posal that died in 2010 to ex- volved in the American mari- States, released last month, voices strong support for the U.S. islation that seeks to dilute the empt Hawai’i, Puerto Rico and time industry, it would open the Merchant Marine and the programs that sustain it. The policy cabotage statute after Senator Alaska from the U.S.-built pro- door to the eventual abolition of statements regarding the merchant marine and the marine trans- John McCain (R-Arizona) failed vision of the Jones Act only for the Jones Act,” said SUP Presi- portation system follows: in a new bid to get the law abol- large, self-propelled oceangoing dent Gunnar Lundeberg. “This THE U.S.-FLAG MERCHANT MARINE ished last month. (See SUP ships. The shippers legislative would totally collapse the U.S. President Gunnar Lundeberg’s proposal is known as the Non- merchant marine, not only in the The U.S.-flag commercial fleet is facing significant challenges. report on page 10.) contiguous Trades Jones Act offshore trades but also in the The ability to access this maritime capability of ships and seafarers Reform (NTJAR—the acronym inland bays, rivers and water- is essential to our national and economic security 95% of the equip- Guam Senator Frank Blas, Jr. is pronounced “Nit-Jar”). This ways. The United States would ment and supplies required to deploy the U.S. armed forces is introduced a resolution in the proposal originated with the then be totally subservient to delivered by ship. U.S. commercial and government-owned ves- Guam legislature on April 4, Hawai’i shippers and does not foreign-flag interests. The Sail- sels, manned by 5,000 U.S. Mariners, played a significant and requesting the unincorporated have a mainland counterpart as ors’ Union of the Pacific, in indispensable role in strategic sealift support for Iraq operations territory’s delegate to the U.S. did previous reform efforts dur- conjunction with the rest of and continue to supply operations in Afghanistan. In today’s ir- House of Representatives, ing the 1990’s with the national maritime labor and industry, regular warfare environment, with increased requirements to sup- Madeleine Bordallo, to intro- Jones Act Reform Coalition, who have spent billion of dol- port and sustain special operations forces, maritime coalition forces, duce a bill that would exempt headed by Rob Quartel. lars to build and maintain with humanitarian assistance/disaster relief operations, a substantial lo- Guam, Puerto Rico, Hawai’i American labor, cannot and will gistics force and commercial sealift capability is needed. and Alaska from the Jones Act The Guam and Hawai’i argu- requirement that vessels em- ments for abolishing the U.S.- not let this occur.” The U.S. commercial fleet includes the 60 ships in the Maritime ployed in the domestic trades be built requirement are the same: “To exempt carriers from the Security Program (MSP), and has grown in capabilities with old built in the United States. that allowing foreign-build ships U.S.-build requirement of the ships being replaced with new, more productive ships. The MSP to participate in the domestic Jones Act is, to paraphrase an old fleet continues to show its value as the most cost-effective source The Jones Act (Section 27 of trades would bring in new ton- Arabian proverb: letting a camel of sealift for the U.S. government and has “answered the call” in the Merchant Marine act of nage, increase competition and get his nose in the tent, his body all emergencies and contingencies. Also, the Voluntary Intermodal 1920) also requires that all do- lower commodity prices for will soon follow,” Lundeberg Sealift Agreement (VISA) provides 135 ships, 213 barges and tugs, mestic waterborne commerce in people living in noncontiguous added. “This is the danger of as well as worldwide inter modal capability. The global reach and the United States be U.S.- jurisdictions due to “assumed” amending this law, which is criti- intermodal expertise of the MSP carriers has proven to be the vital owned, U.S. crewed and U.S.- lower freight rates. cal for the merchant marine.” link in the delivery of equipment and supplies to Afghanistan flagged. through the Northern Distribution Network, bypassing Pakistan. The Maritime Administration’s (MarAd’s) Ready Reserve Force (RRF) and the Military Sealift Command fleet, sized to support Maritime Administration’s budget DoD special mission requirements, include heavy lift, offshore petroleum discharge, auxiliary crane, aviation logistics support and leadership challenged vessels and hospital ships. The Navy League of the United States supports: The following opinion piece was published on April 9, in the Maritime Executive Magazine and the MarEx Newsletter and written by its Editor-in-Chief, Tony Munoz. • The Maritime Security Act that provides the foundation to he 2013 Maritime Ad ment of Transportation’s budget Furthermore, it has insulted the support the U.S. commercial ministration budget is a by $1.4 billion to $98.5 billion maritime sector by appointing a fleet in international trade and Tsaga of the transforma- ($74.5 billion in mandatory and maritime neophyte and political an economically viable U.S.- tion of an entire nation and the $24 billion in discretionary crony as Administrator. flag Merchant Marine for na- hard realities of the “Haves and spending), giving additional in- America’s commercial maritime tional defense and economic se- Have-Nots.” The once-proud frastructure subsidies to the heritage has been dismissed as curity. Maritime Administration now trucking, rail and air sectors. But a relic, and the once promising • The Jones Act and Passen- dwells in cellar-status within the it’s the Administration’s trans- “marine highway,” which could ger Vessel Act, which are im- sixth largest agency of the fed- portation revitalization plan, alleviate highway congestion portant to economic and national eral government while its insuf- which intends to boost DOT’s and air pollution in urban areas, security because they protect ficient budget of $344 million budget by more than 34 percent has instead been replaced by critical national infrastructure becomes a footnote in the ($492 billion) over the next six shortsighted policies that envi- and provide added sealift capac- Obama Administration’s recov- years (2013-2018) and lavish it sion larger trucks transporting ity through the VISA, an ex- ery plan for revitalizing America on “runways, roadways and rail- more tonnage over expanded panded pool of trained and ex- and its transportation infrastruc- ways,” that deliberately and ut- roadway systems. perienced mariners to crew U.S. ture in the 21st Century. terly trivializes the maritime in- While the Arab Spring is hav-

Periodicals’ postage paid at San Francisco, CA (USPS 675-180) government-owned sealift assets As the Administration picked dustry by excluding it from the ing profound effects on the de- and help sustain the U.S. ship- at the crumbs provided to the national recovery plan. stabilization of the Middle East, building and repair industrial maritime industry by decreasing In fact, since the Obama Ad- which could ultimately affect oil base that is vital to the U.S. MarAd’s budget by another $5 ministration took office it has and gas supplies to the U.S., Navy and Coast Guard. million next year, it simulta- deliberately pilfered MarAd’s there are also increasing tensions neously increased the Depart- budget by over $107 million. continued on page 4 continued on page 2 ESU News: Pages 6 & 7 Page 2 WEST COAST SAILORS Friday, April 20, 2012 SUP Honor Roll Lest we forget Voluntary contributions from the membership to the following funds: Organization/ West Coast General Fund Sailors Joseph Marusak ...... 50.00 Roy Bradshaw ...... 25.00 Steven Ross ...... 50.00 Donald Cushing ...... 25.00 Roger Tupas ...... 25.00 Thor Erikson in memory of Ronald Gill ...... 25.00 Political Fund Juan Gonzalez in memory Apolinario Aguirre ...... 50.00 of Jose Sevilla ...... 25.00 Jonathan Anderson-Kaisa .. 40.00 Philip Howell ...... 25.00 Pio Aujero ...... 100.00 Joseph Marusak ...... 30.00 Emo Aulelaua ...... 40.00 Rich Reed ...... 25.00 David Connolly ...... 50.00 Angelo Rossano...... 25.00 Donald Cushing ...... 175.00 Kris Skorodynski ...... 20.00 Mike Dirksen ...... 50.00 John Farley ...... 100.00 Gary Gelfgren in memory Dues-Paying of Jack Dalton...... 100.00 Juan Gonzalez in memory Pensioners of Jack Dalton...... 25.00 Gordon Abbott Book #3785 Walter Harris ...... 100.00 Robert Copeland Book #4763 Noel Itsumaru ...... 50.00 Donald Cushing Book #4777 Hillard Lai ...... 10.00 Romaine Dudley Book #2593 Gunnar Lundeberg ...... 50.00 Knud Jensen Book #3940 Jason Maji ...... 50.00 John Jewett Book #4291 Joe Mantanona ...... 20.00 Kaj E. Kristensen Book #3120 Joseph Marusak ...... 100.00 Hannu Kurppa Book #3162 Ryan McLaughlin...... 100.00 James K. Larsen Book #4055 Adrian Minty ...... 10.00 Duane Nash Book #2437 Jason Morris ...... 20.00 John Perez Book #3810 Harry Naeole...... 20.00 Alex Romo Book #3193 In remembrance of Harry Lundeberg - Born in Norway on March 25, 1901. Secretary-Treasurer of the Sailors’ Union of the Pacific from 1935 until his Vince O’Halloran ...... 100.00 Francisco Salvatierra Book #7498 death on January 28, 1957. Lundeberg was also President of the Maritime Miguel Palacios ...... 30.00 James Savage Book #7488 Federation of the Pacific (1935) and the first president of the Seafarers’ Inter- Jonathan Pampilon ...... 20.00 Ralph Senter Book #7323 national Union of North America (1938-1957). David Parenteau ...... 100.00 David Shands Book #7483 Raymond Pinochi ...... 25.00 Peter Villanueva Book #0857 Rich Reed ...... 25.00 Somali pirate activity reaches 15-month high Mike Soper ...... 10.00 Ten ships were hijacked by Somali pirates in March, making this the most attacks Richard Stinson ...... 10.00 in one month since December 2010. According to Bloomberg, pirate gangs may Tulilo Tautala ...... 25.00 also be moving to attack larger merchant vessels this month. Raymond Tavai ...... 10.00 Four of the seized ships were used to make more attacks, rather than the usual Gary Thompson ...... 50.00 holding for ransom acts. Maritime security experts believe that pirate groups will be encouraged by the latest hijackings and will be moved on organizing more at- tacks over the next several weeks. Additionally, calm weather conditions forecasted for April are favorable to pirates, as it makes it easier to launch skiffs and access a targeted vessel’s deck. A recent study done by One Earth Fu- Final Departures ture Foundation showed that Somali pi- rate attacks rose to a record 237 in 2011, with ransoms worth $160 million paid to Ernest Villarico, Book No. 846. Born Lawrence Portillo, Book No. 3600. release 31 hijacked vessels. It also re- in Hawai’i in 1926. Joined SUP in 1952. Born in Arizona in 1927. Joined SUP in ported that pirates based in Somalia cost Died in San Francisco, California, Oc- 1945. Died in San Jose, California, governments and the shipping industry Published monthly by the Sailors Union of tober 25, 2011. (Pensioner) March 7, 2012. (Pensioner) as much as $6.9 billion last year. the Pacific (an affiliate of the Seafarers Interna- Gerald Allen, Book No. 3784. Born Peter Quaade, Book No. 73. Born in tional Union of North America, AFL-CIO), Currently, sea pirates have 13 vessels in California in 1932. Joined SUP in Denmark in 1921. Joined SUP in 1943. Headquarters, 450 Harrison St., San Fran- detained with 197 sailors taken as hos- cisco, CA 94105. Phone: 415-777-3400. 1953. Died in San Francisco, Califor- Died in Olympia, Washington, tages, according to the International FAX: 415-777-5088. Dispatcher: 415-777- nia, February 2012. (Pensioner) March 28, 2012. (Pensioner) Maritime Bureau (IMB). 3616. Website: www.sailors.org. Periodi- Gene VanKlinken, Book No. 862. cals’ postage paid at San Francisco. (USPS Born in Washington in 1934. Joined SUP 675-180). Printed by Howard Quinn Co., a in 1986. Died in San Francisco, Califor- Opinion on MarAd budget and leadership Union shop. POSTMASTER: Send address nia, March 2012. changes to West Coast Sailors, 450 Harrison continued from page 1 St., San Francisco, CA 94105. Gunnar Lundeberg, with China and Russia, who number among their allies North Korea, Iran and President/Secretary-Treasurer Syria. Meanwhile, the Chinese military complex is rapidly growing and, in Teresa Anibale, Editor SUP Meetings December 2011, President Hu Jintao made it abundantly clear that China is BRANCH OFFICES These are the dates for the regularly preparing for war due to local maritime disputes and U.S. influence in the South Seattle, WA 98106 China Sea, which holds all of its offshore oil and gas resources. 2414 SW Andover St. (206) 467-7944 scheduled SUP meetings in 2012: Bldg. F, Ste. 105 FAX: (206) 467-8119 Hdqs. Branch If interests in Asia and the Middle East are to remain priorities of U.S. inter- Wilmington, CA 90744 May 14 21 national polices, and rebuilding the industrial base and putting millions of Ameri- 533 N. Marine Ave. (310) 835-6617 June Tues. 12 18 cans back to work are important domestic priorities for the Obama Administra- FAX: (310) 835-9367 July 9 16 tion, then it needs to rethink its current DOT six-year plan, which excludes the Honolulu, HI 96813 707 Alakea St., Rm. 101 (808) 533-2777 August 13 20 maritime sector. More importantly, the Administration needs to appoint a real maritime executive to oversee MarAd, enforce Cargo Preference laws, rebuild FAX: (808) 533-2778 September 10 17 WELFARE OFFICE the shipbuilding base through tax incentives and grants, and begin training the October Tues. 915 (415) 778-5490 next generation of U.S. commercial mariners to keep military supply lines open November Tues. 13 19 PENSION PLAN OFFICE around the world. (415) 764-4987 December 10 17 Friday, April 20, 2012 WEST COAST SAILORS Page 3 No legal change for conversions Calling radicalism by its name President Obama’s fruitless three-year search for compromise with the Republi- or rebuilding of Jones Act vessels cans ended in a thunderclap of a speech on April 3, as he denounced the party and The process that governs the rebuild- no formality. But replacements that ex- its presidential candidates for cruelty and extremism. He accused his opponents of ing or conversion of Jones Act ships at ceed 7.5% need USCG approval, sub- imposing on the country a “radical vision” that “is antithetical to our entire history foreign shipyards will not change, the ject to a cap of 10%. In one notable case as a land of opportunity.” U.S. Coast Guard has said. The deci- in 2006, the Shipbuilders Council of Mitt Romney, the Republican presidential front-runner, has embraced a House sion is the latest development in a six- America (SCA) sued the U.S. govern- budget plan, drafted by Congressiman Paul Ryan (R-Wisconsin), that is little more year-old controversy, in which Jones Act ment for allowing foreign conversion of than “thinly veiled social Darwinism,” the president said, a “Trojan horse” dis- shipowning and shipbuilding interests Seacor tankers. A district court ruled in guised as deficit reduction that would hurt middle- and lower-income Americans. have challenged some domestic owners’ the SCA’s favor, but an appeal court later “By gutting the very things we need to grow an economy that’s built to last— attempts to convert tonnage overseas, overturned the decision, recognizing the education and training, research and development, our infrastructure— it is a pre- particularly in China, to save money. USCG’s existing regime as “holistic” and scription for decline,” he said, speaking to a group of Associated Press editors and In a notice published in the Federal based on predictability. Other controver- reporters in Washington. Register in March, the USCG recognized sies have centered on foreign rebuild Mr. Obama has, in recent months, urged Republicans to put aside their destruc- that efforts to tighten the restrictions on projects undertaken by Matson Naviga- tive agenda. But, in this speech, he finally conceded that the party has demonstrated foreign rebuilding could jeopardize the tion Company and Horizon Lines. no interest in the values of compromise and realism. Even Ronald Reagan, who act’s exemption from World Trade Or- In early 2011, the Coast Guard re- raised taxes in multiple budget deals, “could not get through a Republican primary ganization (WTO) rules. This is based opened the foreign rebuilding issue for today,” Mr. Obama said. While Democrats have repeatedly shown a willingness to on a provision that WTO’s predecessor, public comment, following a petition by cut entitlements and have agreed to trillions in domestic spending cuts, he said, the General Agreement on Tariffs and a coalition that included the SCA and Republicans won’t agree to any tax increases and, in fact, want to shower the rich Trade (GATT), exempts statutes in force Jones Act shipowners Crowley Maritime, with even more tax cut. before its own creation in 1947. How- Horizon Lines, Matson, Overseas The speech was the first time that Mr. Obama linked Mr. Romney, by name, to ever, this is subject to periodic WTO re- Shipholding Group, Pasha Hawaii Trans- his party’s dishonest budget and discredited trickle-down policies. As Mr. Obama view to ensure that the exempted law has port Lines and Totem Ocean Trailer Ex- pointed out, Mr. Romney described as “marvelous” a budget that would drastically not been tightened or adversely modi- press. The Federal Register notice states fied. The Jones Act was signed into law that the petitioners’ proposed tightening cut study financial aid, medical research, Head Start classrooms and environmental in 1920. of the existing regime would establish protections. Mr. Obama further ridiculed the budget’s deficit-cutting goal as “laugh- able” because it refuses to acknowledge the need for new revenues. Foreign governments, no fans of the “new and onerous procedural impedi- Jones Act, can pounce on any tightening ments” to an applicant seeking to con- The speech was immediately attacked by the House speaker, John Boehner, for to invoke this provision. “Any changes tract work to a foreign shipyard. “Their failing to deal with the debt crisis, but Mr. Obama pointed out how hollow that to the Jones Act statutes or measures proposal would make the process slower, charge has become. “That argument might have a shred of credibility were it not implementing those statutes must not more cumbersome, inflexible, conducive for their proposal to also spend $4.6 trillion over the next decade on lower tax make them less consistent with GATT to adversarial disputes and appeals by rates,” he said. The math is, in fact, quite simple: cutting both taxes and the deficit 1994,” the Federal Register notice con- third parties, whether or not directly af- can mean only more sacrifice from the middle class and the poor, ending the prom- cludes. However, regulatory experts said fected, and more resource-intensive for ise of Medicare and Medicaid. Over the long term, the deficit can be brought down the WTO angle was peripheral to the the Coast Guard,” the document states. through a combination of cuts and new revenues; doing so immediately, as USCG’s decision, which simply reaf- Maritime regulatory consultant Den- Mr. Romney and his party want to do, would reverse the fragile recovery. firmed a rule that has worked well over nis Bryant interpreted the Federal Reg- Mr. Obama provided a powerful signal that he intends to make this election about the years and does not need to change. ister notice as a refusal by USCG to give the Republican Party’s failure to confront, what he called, “the defining issue of our Under the Jones Act, foreign repairs the petitioners an administrative victory time”: restoring a sense of economic security while giving everyone a fair shot, that do not involve more than 7.5% of after they had lost in court. rather than enabling only a shrinking number of people to do exceedingly well. He the ship’s steel weight can proceed with remarks promise a tough-minded campaign that will call extremism and dishonesty by name. Source: New York Times editorial: April 4, 2012 APL to cut carbon emissions by a third APL has announced an ambitious plan to cut its key carbon exhaust measure by 30% from all its shipping operations by 2015. Container lines lost The company will deploy 32 new vessels in the next three years and says that better designs for fuel efficiency and slow steaming will help it to meet the target. over $6 billion in 2011 “We’re changing the profile of our fleet with larger, more efficient ships that will significantly curb exhaust emissions,” said APL President Kenneth Glenn. “It is the Container lines lost around $6 billion between them last year as they abandoned most effective way we know to make global trade environmentally sustainable.” financial discipline to go after market share, according to two assessments pub- lished this month. APL said that its fleet will produce 130 grams of carbon exhaust for ever teu of cargo transported one nautical mile by 2015, representing a 30% reduction from London consultancy firm Drewry has revised its estimate of collective losses to emission levels in 2009, when auditors first calculated APL’s carbon footprint. The $6.5 billion, having earlier forecast a lower figure of $5.2 billion. The deterioration company said it would take other measures to cut carbon emissions, such as optimiz- marked a $23 billion drain from 2010 when lines posted record profits. Neither ing vessel trim, speed and routing, improving maintenance on vessel hulls to reduce does Drewry anticipate a rapid recovery, with financial results expected to remain drag in the water and upgrading cargo handling equipment at APL terminals. weak in the first half of 2012. However, much now depends on the behavior of carriers themselves rather than market fundamentals. NOL, APL’s parent company, announced a loss of $320 million in the fourth quarter, and an annual loss of $428 million for full-year 2011. In response, New figures from industry analyst Alphaliner put the collective operating losses chief executive Ng Yat Chung said the company would trim $500 million from of the top 22 global carriers at a slightly lower $5.6 billion in 2011, with only four its costs in 2012. managing to stay in the black. Losses accrued last year compare with operating earnings of $12.1 billion achieved in 2010 but were nevertheless better than in 2009, when the combined shortfall came to $13.4 billion, according to Alphaliner. Costa Concordia to be One unknown in any analysis of box line losses is the performance of the world’s second largest ocean carrier, Mediterranean Shipping Company, which does not release any financial numbers. salvaged in one piece Despite the carnage of 2011, Alphaliner notes that only one operator pulled out of liner shipping, with Malaysia’s MISC deciding to exit the business after accumulat- Costa Cruises, a subsidairy of Carnival Cruises, has decided to refloat the Costa ing losses in excess of $1 billion over the past four years. Concordia in one piece, with the overall cost of the salvage estimated at $288 million for an operation likely to take at least a year. Although it would have been On average, freight rates were 12% lower in 2011 compared to 2010 while fuel oil less expensive to break the vessel up for salvage, Costa said it had chosen the prices were 39% higher. Operating margins have been in continuous decline since course of action that minimized the likely threat to the environment and protected the third quarter of 2010, down to minus 13% in the fourth quarter of 2011. How- tourism and local interests. The wreck lies near Giglio Island, Italy, designated a ever, Alphaliner says the positive news for carriers is that margins bottomed out late maritime reserve. last year, as freight rates recovered strongly in all main trade lanes since January. Maritime sources indicate that Crowley Maritime’s Titan Salvage and Dutch firm Commenting on industry prospects, Drewry head of container research Neil Dekker Smit Salvage are the two firms bidding for the salvage contract. cautioned that until the inherent structural capacity is truly tackled, “we will con- International Salvage Union General Secretary Mike Lacey said he was not tinue to have periodic and violent bouts of overcapacity that will keep rates and surprised that Costa Cruises was taking its time over the salvage decision. “It is a operating margins yo-yoing up and down.” huge operation,” he said. “Sealing the 170-foot hull gash is a big enough start. We don’t even know what kind of damage there is under the water on the star- board side. Ensuring the vessel is watertight will be difficult but crucial as other- “To argue with a person who has renounced the wise the air will just come out. [The salvage operation] can be done. If you throw use of reason is like administering medicine to enough money at a job you can do anything. It is just a question of how straight- the dead.” Thomas Paine (1737-1809) forward it will be.” Page 4 WEST COAST SAILORS Friday, April 20, 2012

U.S. Navy League backs maritime programs The SUP gang in the continued from page 1 President Polk at the bot- tom of the ship’s swim- • Full compliance with U.S. Cargo Highway” initiative that includes a Na- ming after giving her a Preference Laws by government agencies tional Freight Policy that shifts more new paint job this month. and shippers, as a necessary and critical freight cargo to the nation’s waterways From left to right: ABs component to the long-term sustainability to improve economic competitiveness, Mark Brower, Pat Tite, of the U.S.-flag fleet. Without this com- reduces congestion, carbon consumption Delegate Jack Sheldon, mercial capability, the U.S. government and transportation costs, while increas- Erik Williamson, Nicole will be required to provide significantly ing U.S.-flag vessels and Mariners on Withers and Bosun Otto more funds to build a replacement fleet domestic waterways. Hallgren. The Polk oper- and infrastructure while losing the pool MarAd’s comprehensive “green” pro- ates off the East Coast in of highly qualified Mariners needed to gram with the necessary resources to pro- APL’s Suez Express Ser- sail these vessels. These laws include the mote sustainability throughout the MTS, vice. Jones Act, Passenger Vessel Act, DOD including research and technology in ar- and, Foreign Aid cargoes. eas of emerging environmental concerns • Budgetary and legislative measures, such as ballast water, port and vessel including capital and operations-related emissions, alternate fuel use and energy European Union backs land changes in U.S. tax laws, Mariner in- management. come tax exclusion and the harmoniza- Making MTS infrastructure projects strikes against Somali pirates tion of domestic and international regu- permanently eligible for funding under lations to improve the competitive posi- Title 23 of the next surface transporta- The European Union (EU) has authorized navies to strike pirates on land as part tion of the U.S.-flag fleet in the world tion reauthorization legislation to ensure of its anti-piracy operation, which was extended to December 2014. European for- marketplace. that marine transportation is fully inte- eign ministers, meeting in Brussels, have agreed to “extend the area of operations • Growing the MSP fleet, as require- grated into the surface transportation sys- to include Somali coastal territory and internal waters,” EU NAVFOR (Naval Force) ments warrant, for both surge and sus- tem. said late last month. tainment operations. Also, full, long-term Operation Atalanta was designed to protect World Food Program vessels deliver- Under the America’s Marine Highway funding for the program. Replacing the ing food aid in Somalia, as well as to combat piracy off Somalia. Until today, it has initiative, an exemption of waterborne lift capability of this fleet would cost the been confined to the sea, but now EU forces will also focus on coastal land areas, in cargo transshipped between U.S. ports DoD $9 billion. collaboration with the Transitional Federal Government and other Somali entities. from the Harbor Maintenance tax. This • Full funding, at authorized levels, for is a double tax because it is paid when The EU said a budget of $19.7 million has been approved to pay for the pro- meeting the operational and maintenance imports first land in the United States and longed mandate. requirements and capital improvements is a major disincentive for increased Spanish Foreign Minister Jose Manuel Garcia-Margallo told the Associated Press: at the U.S. Merchant Marine Academy waterborne transport. “The EU plan is to allow attacks on land installations when ships are assaulted at and federal assistance at the six state sea.” He added that “much care” will be taken to avoid civilian deaths. maritime academies for the Student In- Additional resources for the Army Speaking about the extension of the mandate, Rear Admiral Duncan Potts, Com- centive Program and Training Ships. This Corps of Engineers’ dredging projects mander of the EU Naval Force, said: “The extension of the mandate until the end of will ensure the long-term availability of and for the Coast Guard to upgrade navi- 2014 confirms the EU’s commitment of fighting piracy off the Horn of Africa. licensed Mariners to serve the nation’s gational aids in river and harbor chan- “Piracy has caused so much misery to the Somali people and to the crews of ships needs. nels that connect U.S. ports to the world. transiting the area, and it is right that we continue to move forward in our efforts,” Use of the Inland Waterway Trust Fund • A strong strategic sealift Merchant he declared. Reserve component in the U.S. Navy to to repair/replace aging infrastructure on While some industry players have praised the European Union decision to all EU ensure that critical Mariner skills and ex- the inland waterway system. The inland NAVFOR to fight piracy on Somali soil as a “step in the right direction,” other say perience are retained to support Navy and waterway system is capable of carrying they need to see more detail before they can support the move. strategic sealift transportation. huge additional amounts of freight and Although shipping sources have welcomed the extension of the Operation Atalanta • The combined government and in- petroleum products at a fraction of the mandate, many feel it is not clear what the extension to Somali coastal territory will dustry efforts to counter piracy by plac- cost of other modes of transport. involve. BIMCO (Baltic and International Maritime Council) Chief Maritime Secu- ing armed guards aboard ships and in- • Increased investment in overall mari- rity Officer Giles Noakes said the statement from the EU was too vague and this troducing new technologies to prevent hi- time research and development on a par made it difficult for anyone to make a definite comment. “All it suggests is that jacking. with other modes of transportation. forces will operate beyond the waters and into coastal territory. That is not to say • Legislation for the Department of • Funding for the Title XI Ship Con- this is not good news, by extending the naval forces’ area of operations to include Veterans Affairs to treat Merchant Ma- struction Loan Guarantee Program to Somali coastal territory it allows for far more robust actions against Somali pi- rine veterans of World War II as they do support replacement of existing Jones Act rates,” he said. “If it means that they will focus on targeting pirates’ logistical all other veterans. tonnage; Marine Highway shipping needs operations then this is a step in the right direction. After all historically, pirates THE MARINE including vessels and infrastructure in have only ever been defeated when their operations have been targeted onshore.” TRANSPORTATION SYSTEM ports and shipyards. However, others have questioned where EU NAVFOR will focus its efforts. Maritime transportation contributes • Efforts by the Coast Guard, Navy and There is a concern that rather than concentrate on pirate bases on shore, time will be more than $10 billion per year to the U.S. MarAd for MDA improvements such as taken dismantling capture motherships. If this is the case, it would have huge rami- economy. The U.S. Marine Transporta- the MarView Internet-based portal, fications for salvage operations that would be extremely difficult to conduct on the tion System (MTS) consists of water- which provides essential MTS informa- Somali coast. ways, ports and their intermodal connec- tion for decision makers. Another question raised is what kind of retribution the industry can expect from tions, vessels and vehicles. As the one • The 17 commercial strategic ports that the pirates. Some fear that a move like this, if not immediately successful, could of the world’s paramount trade leaders, support the short-notice military surge make the problem of Somali piracy worse. the United States requires a technologi- deployments with priority access to ter- Gary Li, head of marine and aviation at London intelligence company Exclusive cally advanced, secure, efficient and en- minals, vessel berths and staging areas Analysis, said expanding operations could be a good move but was not a long-term vironmentally sound MTS. under the National Port Readiness Net- solution. He added that the rules of engagement needed to be very clear. “It is Roughly one quarter of the world’s work. understood there will be no ground forces on shore but there is still the question of trade flows through U.S. ports. Our eco- • Efforts to develop a national capacity how will they validate that a target was a pirate and not a fisherman,” he said. nomic prosperity is dependent on inter- for the MTS to recover from major dis- “When a group of Somalis claims that a target was civilian, they may find it diffi- national trade, of which, more than 94%, ruptions to ensure the continuity of criti- cult to refute. It could be a case of their world against EU NAVFOR’s.” However, by volume, moves by water. Any dis- cal maritime activities. This should in- Li said that EU NAVFOR had good intelligence and knew when pirate groups were ruption in this global supply chain would clude the maintenance of a robust U.S. preparing to go to sea. have a serious negative impact on the salvage vessel and oil spill recovery ca- U.S. economy and, consequently, our pability to ensure expeditious clearing of Russian master busted by Danes national security. Trade flowing through vital channels and harbors. the nation’s ports and waterways will in- The Navy League of the United States Danish authorities on March 23, arrested the Russian master of a chemical tanker crease substantially by 2020, creating is a national nonprofit organization dedi- that ran aground near Copenhagen. The Greek-owned Terry (15,441dwt) grounded greater congestion on overburdened land, cated to educating our citizens about the on a sandbank between Kastrup and Saltholm Island, March 22, while on voyage port, water, passenger and freight-deliv- from the Danish port of Hirtshals to the Latvian capital Riga, the Odin Maritime importance of sea power to U.S. national ery systems. Only a truly seamless, inte- News portal reported. security and supporting the men and grated, multimodal transportation system women of the U.S. Navy, Marine Corps, When officials boarded the vessel and tested the master’s blood alcohol level, with an expanded “America’s Marine Coast Guard and U.S.-flag Merchant they found it to be illegally high and arrested him, the report added. Highway System” and a dynamic Na- Marine and their families. A spokesman for shipowner Halkidon Shipping confirmed that the master had tional Freight Policy will meet the The Navy League was founded in 1902 been drunk and said that the ship was refloated. The company has a “zero toler- nation’s growing needs. ance” policy when it comes to alcohol, he emphasized. at the suggestion of President Theodore The Navy League of the United States Roosevelt. The 2010 Manila amendments to the IMO’s Standards of Training, Certification supports: The Department of & Watchkeeping rules came into force in January. They require seafarers on active Transportation’s “America’s Marine duty to keep a blood alcohol level of no more than 0.05% of alcohol in the breath. Friday, April 20, 2012 WEST COAST SAILORS Page 5

Legal victory leads to lockout and protracted “Ghost ship” from Japanese tsunami negotiations for New Zealand dockers Last month’s West Coast Sailors reported that longshore workers in Auckland, sunk by U.S. Coast Guard off Alaska New Zealand were fired by the private contractor “Port of Auckland”. On March 21, the Maritime Union of New Zealand (MUNZ) scored an important legal victory when the employer withdrew the terminal order. The port was forced to reverse course because they feared that New Zealand’s Employment Court would not allow the firing of the Union dockworkers, said Garry Parsloe, President of the MUNZ. The employer decision to cancel the firings also came as international solidarity efforts geared-up around the globe, focusing attention on the harsh, anti-Union policies employed against workers by management at the Ports of Auckland. When management agreed to withdraw the firing order, MUNZ members voted to end their strike and unilaterally return to work. But any sense of celebration was short lived. Instead of reciprocating the Union’s good faith offer to end the strike and return to work, the Ports of Auckland management immediately issued a lock- out notice and refused to let the dockers back to work. Under New Zealand labor law, parties must give a 14-day notice prior to a strike or lockout at the port. After the lockout notice was served, workers and community supporters took to the streets, including over 60 students from the University of Auckland. MUNZ President Parsloe said Port’s action was illegal and destructive. “We’re ready to go back to work and get this port moving again for Auckland,” The derelict Japanese fishing vessel Ryou-Un Maru after being shelled by the U.S. Coast said Parsloe. “It is deeply disturbing that the company’s vision is so blurred that Guard cutter Anacapa on April 5. Photo: USCG Petty Officer 2nd Class Brandon Thomas they now want to stop the port from functioning,” he said. Parsloe said management at the Ports of Auckland is “out of control,” and called After surviving one of the most devastating earthquake and tsunami ever re- on Auckland’s Mayor and Council to “step in, sack management and replace them corded and a full year unmanned and adrift in the Pacific, the Ryou-Un Maru has with a group willing to run this important asset for the benefit of Auckland.” met her demise at the hands of the U.S. Coast Guard. Port officials have given conflicting rationales for the lockout. Ports of Auckland The derelict squid fishing vessel was first spotted by the Canadian Coast Guard in board chairman Richard Pearson was quoted in the New Zealand press saying that late March drifting off the Cost of British Columbia. From there, she drifted in the lockout was aimed at moving toward a “competitive stevedoring system” which U.S. waters. On March 31, a U.S. Coast Guard C-130 aircraft dropped a buoy to is management-speak for casualizing the workforce. The following day, Pearson monitor its location. made the outrageous claim that the lockout was imposed to protect the safety of Determining that the vessel was a threat to navigation, the USCG dispatched the replacement workers, saying the lockout would continue until the MUNZ assurance 110-foot cutter Anacapa, armed with a 25mm cannon, with orders to shoot-to-sink. that replacement workers would not be subjected to violence. No evidence of threats On April 5, 170 miles southwest of Sitka, the Ryou-Un Maru sank at 6:15 P.M. in or violence was cited by the port. 6,000 feet of water after being shelled by the Anacapa and then filled full of water. New Zealand’s Council of Trade Unions (CTU) President Helen Kelly criticized The battered 178-foot ghost ship had traveled more than 3,600 nautical miles and Pearson’s unfounded accusations against MUNZ members. been adrift for more than a year since the March 11, 2011 earthquake, which gen- “If he has got any evidence of this he should give it to the police,” said Kelley, erated monster waves that killed more than 19,000 people. The squid-fishing boat “but there is no evidence,” she told Radio New Zealand. was anchored at the Port of Hachinohe, Japan, when the tsunami struck. The New Zealand Herald newspaper reported a possible conflict of interest in- volving an unnamed port manager who participated in the contract negotiations and is connected to a company hiring non-Union dockworkers. The company, Pacific U.S. sanctions on Iranian shipping expands Crew Holdings Ltd., was registered on February 27, nine days before the Ports of The U.S. Treasury Department has announced further sanctions against individu- Auckland announced the firing of the 292 MUNZ dockworkers. als and shipping companies allegedly linked to Islamic Republic of Iran Shipping The allegations suggest management was not negotiating in good faith because at Lines (IRISL). Among the latest targets are two Malta-based entities, Malship Ship- least one member of their negotiating team had a predetermined view— and pos- ping Agency and Modality, both said to be IRISL affiliates, and two named indi- sible financial conflict that could allow him to benefit from firing Union members viduals, Seyed Alaeddin Sadat Rasool and Ali Ezati, said to be IRISL officials. and replacing them with private contractors. IRISL, Iran’s largest shipping concern, has long been subject to sanctions be- The port is facing mounting international pressure for their attack against Union cause the United States has accused it of playing a key role in Iran’s nuclear pro- workers, and efforts to undermine working conditions for port workers. The ILWU gram and in transporting military cargoes. Washington claims that Iran is seeking to and other Unions affiliated with the International Transport Workers Federation acquire nuclear weapons, a charge that Tehran has consistently rejected. (ITF) mobilized quickly to show solidarity and offer support. The operator used Malta Freeport as its principal transhipment hub in the Medi- Dockers belonging to the Maritime Union of Australia refused to handle cargo terranean until it pulled out late last year, preempting a reluctant decision from the coming from the Port of Auckland, triggering a multimillion dollar legal threat Maltese government banning it from calling after 2013, which was only made in the against the Union. face of U.S. pressure. Malship and Modality join six other Maltese entities subject As this issue of the West Coast Sailors went to press, the Union and Port of to earlier rounds of sanctions. Auckland are mired in mediation. MUNZ President Parsloe said both parties had The Treasury Department also imposed additional sanctions on Iran Maritime agreed with a judge’s recommendation to first attempt more mediation, and then Industrial Company, known by the Farsi acronym Sadra, which is thought to have move to facilitation. “As mediation hasn’t worked, it’s important that we now go to offices in Iran and Venezuela. Sadra is allegedly owned by Khatam al-Anbiya, an facilitation. The Maritime Union welcomes this development.” engineering company used by the Islamic Revolutionary Guard to fund its opera- “As we previously indicated we have struggled with a cut and paste negotiations tions. Deep Offshore Technology PJS, said a Sadra subsidiary, has also joined the approach from Ports of Auckland, who are simply recycling previous proposals that sanctions list. provide no guaranteed days off, no protection against casualization and a package “By designation the individuals and entities, Treasury is sending a clear signal to that would significantly reduce workers’ pay. We hope to get some positive direc- the international community that Iran’s attempts to evade international sanctions tion from facilitation. We will be taking all of the facilitators recommendations will not go unnoticed,” said Adam Szubin, Director of Treasury’s Office of Foreign seriously, and take them back to membership to consider.” Assets Control. Parsloe said the Union also welcomed comments from the Mayor on the unac- ceptable behavior of management at Ports of Auckland. “This sort of behavior has been challenging for Ports workers and their Union to deal with to say the least. We are encouraged the Mayor wants to see an end to this management culture at Ports of Auckland.” Sewage discharge banned [Editor’s note: Parts of this article are from The Dispatcher, the official newspa- per of the ILWU.] in California waters The state of California has introduced a no-discharge zone that prohibits vessel Hollywood workers vote to merge Unions sewage discharge in all California marine waters. The Coast Guard will enforce the Members of the Screen Actors Guild and the American Federation of Television new regulation. and Radio Artists have overwhelmingly approved merging their Unions into one, The ban took effect on March 28, and applies to large passenger vessels of 300 SAG/AFTRA, the Unions announced on March 30, in Los Angeles. gross tons and over that have berths or overnight accommodation for passengers. It The SAG/AFTRA merger approval required a 60% vote from each Union. AFTRA also applies to large private, commercial, government or military vessels of the members approved the merger by 86% and SAG members voted 82% in favor of same limit, equipped with a holding tank with remaining capacity or containing the merger. AFTRA has some 70,000 members in the entertainment and news sewage generated before entering state waters. industries while SAG represents about 125,000 actors. Responding to an application from California, the Environmental Protection Agency Months of discussions of the merger between the two Unions included a “Listen- (EPA) established the regulation under the U.S. Clean Water Act. EPA says the ing tour” by SAG President Ken Howard and AFTRA President Roberta Reardon. rule will prohibit the discharge of more than 22 million out of 25 million gallons of The two will now serve as co-presidents of the new Union. treated sewage that large vessels discharge into state waters each year. Page 6 WEST COAST SAILORS Friday, April 20, 2012

ESU Office Assignments For the month of May, ESUESU NEWSNEWS Leo DeCastro will be in the APRIL 2012 Seabrook office.

Official Publication of the Exxon Seamen's Union Bangkok reunion Former Exxon Valdez sold for scrap nother former SeaRiver tanker appears to be headed for the breaking yard to be scrapped. The vessel known as the Oriental Nicety, originally chris- Atened the Exxon Valdez was reported sold in late March to Best Oasis, a cash buyer of ships for demolition for nearly 16 million dollars. The story was first reported by Tradewinds on March 20, that a trip to India will mark the final voyage for one of the most infamous vessels in the history of the shipping industry. India has one of the world’s largest industries for breaking down old ships and oil tankers in the town of Alang, along the Gulf of Cambay in Gujarat. Now named the Oriental Nicety (the vessel has changed names and owners a few times throughout its lifetime), the tanker was converted into an ore carrier in 2007 and was later severely damaged in a collision with a cargo ship in the South China Sea in 2010. The Exxon Valdez was a relatively new tanker for Exxon Shipping Company when it ran aground at Alaska’s Bligh Reef in Prince William Sound on March 24, 1989, creating what is considered now as the 2nd largest oil spill in US history (the Deepwater Horizon oil spill is the largest now). However, according to the Tanker Owners Pollution Federation, the spill is not one of largest 30 spills on record. This incident was the spark for many legislative changes to come including, the Oil and Pollution Control Act of 1990, which mandated new rules for tanker industry and Current and former ESU members get together for dinner and sea stories at the Poung its maritime workers. Kaew restaurant in Bangkok, Thailand. Pictured from left: ESU Board Member at Large, Timeline for the Exxon Valdez after running aground in 1989: After repairs, the John McCarthy. Retired Fleet Chef and former Steward Department Trustee, Jose Pereira. Exxon Valdez entered foreign service and was renamed the Exxon Mediterranean, Retired 3rd Mate, Kim Burnett started with Exxon Shipping as AB and was a former ESU then SeaRiver Mediterranean in the early 1990s, when Exxon transferred their member. Deck Trustee, Kevin Conroy. Retired Pumpman, Jack Patterson former Ship shipping business to a new subsidiary company, SeaRiver Maritime Inc in 1993. Representative for the S/R Long Beach and Exxon Valdez. The name was later shortened to S/R Mediterranean, then to simply Mediterranean in 2005. Although Exxon tried briefly to return the ship to its North American fleet through the courts, it was ultimately prohibited by law from returning to Prince William Sound. It then served in Europe, the Middle East and Asia. In 2002, the ship was removed from SeaRiver service due to depressed tanker rates on the world market only to return in 2003. In 2005, it was transferred to Exxon’s international fleet and began operating under the Marshall Islands flag of convenience. In early 2008, ExxonMobil sold the Mediterranean to a Hong Kong- based shipping company named Hong Kong Bloom Shipping Ltd., which renamed the ship once again as Dong Fang Ocean, then under Panama registry. In 2008, the ship was refitted, converting it from an oil tanker to an ore carrier. The vessel then sold to the new owners and became the Oriental Nicety. Despite the vessel’s historic past she was a good ship that inherited a bad rap from incidents that the vessel had no control over. Like her only sister, the Long Beach Also during his stay in Thailand, Kevin Conroy at the invitation of Human Resources those ships were two of the best ships that Exxon ever built for the domestic fleet Manager Mary Elizabeth McComas, spoke at the ExxonMobil Limited Headquarters in and the Alaska North Slope trade. They were large vessels and rode well in the Gulf Bangkok. Kevin (center seated) talked with her team on Labor Relations from the rank of Alaska winters and were favored ships to sail in for the members of the Exxon and file point of view and everyday life aboard SeaRiver’s tankers. Kevin was well received by everyone and he made many new friends. Mary Elizabeth’s (seated right of Seamen’s Union. Kevin) department handles HR and administrative functions for ExxonMobil facilities in 22 countries. ExxonMobil Vision Plan Best of the Best Award The men and women of SeaRiver were demonstrating improvement over the past (OptumHealth) explained recognized on March 30, 2012 in Hous- year. In order to be considered for this Although this plan has been available The administrator of the vision plan ton for 2011 Safety and Environmental award the organization must meet the to the membership for a few years now, provides information about network pro- performance. On behalf of SeaRiver following criteria: we still have from time to time a mem- viders, makes claims payments and ben- Maritime, Chief Mate Dan Goodwin re- · Lost Time Incidents=0 ber that is not fully aware of how the efit pre-determinations, and decides ap- ceived the “Best of the Best” award from · Combined Workforce TRIR< benefits are applied. peals of denied claims. You may contact Sherman Glass, President of ExxonMobil Stewardship ESU members need to be aware of a a OptumHealth Vision Customer Service Refining and Supply Company. Mr. Representative for questions about the · Process Safety Incidents=0 potential pitfall when you use the fea- Glass oversees the Global S&T organi- tures under this plan. Most of the ben- benefits at 1-877-303-2415. You can also · Spills and Releases=0 zation consisting of forty three business efits are available to the participants on find more information about the plan on units. Of the total, five were considered · Environmental Compliance Inci a frequency basis of once every 12 the OptumHealth Vision web site as contenders for this award. Out of those dents=10% improvement months (i.e. exam, spectacle lenses and www.exxonmobilvision.com. Before en- five SeaRiver was chosen as the recipi- (10% improvement per year contact lenses). Frames are covered on rolling, visit the OptumHealth Vision ent for flawless SH&E performance and with 2004 as baseline) a frequency basis of once every 24 web site to search for providers, get an- months. This 12-month frequency means swers to Frequently Asked Questions you have to wait 12 months before you (FAQs), and read articles to help you E-mail pay voucher are eligible for new benefits. In the case learn more about the importance of vi- of frames you have to wait 24 months sion care. If you have yet to submit a Pay Statement Delivery Form or have had trouble since the last time you ordered a new Also, for added convenience, getting the form processed by ExxonMobil payroll, the ESU office can be of help. pair of frames. Example: If you purchase OptumHealth will automatically submit The Union has become aware of few individuals that have experienced some diffi- contacts on April 1, you would then be eligible out-of-pocket expenses for reim- culty in getting their form processed by payroll after sending the form in through eligible again to use the benefits under bursement for you if you are enrolled in regular mail or by faxing. The ESU now has a contact in payroll that we can e-mail the plan on or after April 1st of the fol- the Health Care Flexible Spending Ac- this form directly to and is processed with very little delay. If you can mail your form lowing year. Incidentally, the vision plan count through the ExxonMobil Pre-Tax to the ESU office we will be glad to forward to payroll for processing. Please send to is no longer called Spectera and is now Spending Plan. PO Box 754, Seabrook, Texas 77586 or you can send via fax at 832-201-0441. called OptumHealth Vision. Friday, April 20, 2012 WEST COAST SAILORS Page 7 ESU News ExxonMobil, ConocoPhillips, BP and Frank Simpson receives medical retirement Able Seaman, Frank Simpson received a medical retirement from SeaRiver on Alaska Pipeline Project form pact to April 10, 2012 with nearly 22 years of company service. Frank began his career as a Maintenance Seaman aboard the Exxon Galveston on October 24, 1990. Frank, commercialize North Slope Natural Gas already possessed an Able Seamen endorsement ExxonMobil, ConocoPhillips, BP and TransCanada, through its participation in when hired and was quickly promoted up the ranks the Alaska Pipeline Project, announced on March 30, 2012, that they are working in 1991. Frank’s last vessel assignment was the together on the next generation of resource development in Alaska. Wilmington during March/April of 2011. The four companies have agreed on a work plan aimed at commercializing North Frank, a resident of Rockport, TX, plans to stay Slope natural gas resources within an Alaska Gasline Inducement Act (AGIA) frame- at his current home but also has plans to avoid some work. Because of a rapidly evolving global market, large-scale liquefied natural gas of the extreme heat during the summer months by (LNG) exports from south-central Alaska will be assessed as an alternative to a visiting friends and family in his native country natural gas pipeline through Alberta. Canada. “Commercializing Alaska natural gas resources will not be easy. There are many The Exxon Seamen’s Union would like to express challenges and issues that must be resolved, and we cannot do it alone. Unprec- its most sincere thanks to Frank for his support to edented commitments of capital for gas development will require competitive and the ESU throughout his career. Frank was not only stable fiscal terms with the State of Alaska first be established,” the CEOs of an excellent shipmate, but also a loyal Union sup- ExxonMobil, ConocoPhillips and BP wrote in a joint letter to Governor Sean Parnell. porter. The ESU Board and the entire membership The producing companies support meaningful Alaska tax reform, such as the wish Frank nothing but the best of times during his legislation introduced by Governor Parnell, which will encourage increased invest- retirement years. ment and establish an economic foundation for further commercialization of North Slope resources. With Point Thomson legal issues now settled, the producers are moving forward Strike authorization approved with the initial development phase of the Point Thomson project. Alaska’s North Slope holds more than 35 trillion cubic feet of discovered natural gas, and Point by Tesoro refinery workers Thomson is a strategic investment to position Alaska gas commercialization. ExxonMobil is also proceeding with a proposal to develop the Thomson Sand United Steelworkers (USW) members April 2, 2010 Good Friday explosion and Reservoir on the North Slope of Alaska. The objective is to produce 10,000 barrels at Tesoro’s Mandan, North Dakota, re- fire at the Anacortes refinery, the com- per day (bpd) of condensate and test and delineate other hydrocarbon resources finery voted overwhelmingly today to pany announced it was cutting or elimi- including oil and natural gas, of the Point Thomson area. A common carrier sales give their negotiating committee the au- nating benefits. pipeline will be constructed for transporting hydrocarbon liquids 22 miles west to thority to call a strike. At this time a strike Despite the locals’ demands to bargain, has not been called. connect with the Trans Alaska Pipeline System. Tesoro unilaterally implemented a series “Given Tesoro’s refusal to put forward The Alaska Pipeline Project is a joint initiative between TransCanada and of benefit reductions on Jan. 1, 2011. fair proposals at the bargaining table, our ExxonMobil that seeks to build and operate a pipeline system to transport Alaska’s The USW filed unfair labor practice members thought it was important to take North Slope natural gas resources to markets. charges. At Mandan, a National Labor this step in authorizing the committee to Relations Board (NLRB) administrative call a strike if needed,” said USW Local law judge ruled Feb. 7, 2012 that the 10 President Javier Montoya. “If the company should have bargained with the company continues to refuse to put for- union and unlawfully implemented the ward an offer that our membership can benefit cuts. The judge ordered Tesoro find acceptable, we will have to consider to bargain with the union over the using our authority to call a strike.” changes, restore the original benefits and The Mandan workers join other USW reimburse workers for any increased members at Tesoro refineries in costs resulting from the benefit cuts. Anacortes, Wash., and Martinez, Calif., Tesoro has appealed the decision. in giving strike authorization to their bar- Other contract issues include calcula- gaining committees. Currently, workers tion of vacation time, pension security at refineries accounting for 61% of the and restoration of retirement benefits. company’s refining capacity have autho- rized strike action. On May 1 when the The USW represents more than 145 contract covering workers at the operations and maintenance workers at company’s Los Angeles refinery expires, the 58,000- barrel-per-day Mandan re- workers at refineries accounting for 78% finery. At Tesoro’s five other refineries, of the company’s capacity will be in a except for the Kenai facility, the USW position to strike if needed. represents over 1,300 workers. During negotiations Tesoro has been The USW represents over 850,000 attempting to get the local unions to workers in the U.S., Canada, and the agree to waive their legal right to bar- Caribbean who are employed in oil re- MS Eric Bush pictured with QMED-Oiler Joe Butler (left) during his first assignment as gain over benefit changes during the term fining, pulp, paper and packaging, met- Ship Rep. for the Kodiak. Joe was out on sick leave for a couple of months but doing of the agreement. Six months after mem- als, rubber, chemicals, energy, govern- well now and glad to be back on the job. Joe holds multiple endorsements including a bers lost seven co-workers due to the ment and the service sector. 3rd Assistant Engineers license. Since starting with SeaRiver in 1993, Joe has also sailed as Able Seamen and Cook. He is truly a man with many skills. ExxonMobil CEO’s pay rose 17% in 2011 In Exxon Mobil’s proxy report to shareholders, ExxonMobil Corporation report- edly had a very good year in 2011 and chairman and chief executive Rex Tillerson shared in the company’s success with a $25.2 million total compensation package, Ship reports up from 21.5 million in 2010. Tillerson was paid $6.8 million in salary and bonus plus restricted stock worth $17.9 million and $519,230 more in other compensation S/R American Progress and incentives. Vessel slated to call on San Francisco toward the latter part of April after a few Exxon said that Tillerson, who has led America’s biggest petroleum company months of continuous trips to the Puget Sound area. The crew is looking forward to since 2006, earned the increase in pay by boosting returns for shareholders. In a change of pace before returning to their normal run. AB Jeff Harris has been 2011, Exxon beat the S&P 500 and industry average in shareholder returns. It also filling in as Ship Rep. and doing a good job. Time frame for the upcoming shipyard beat the industry average in return on average capital employed. The company period is within the next couple of months but no final word on the location. added that its safety record was better than the average as well. Kodiak ESU Board officer visited the vessel at the Chevron Richmond Longwharf on April 7. Vessel scheduled to make a trip to El Segundo, CA this trip south. Regular EXXON SEAMEN'S UNION Ship Rep. Joe Butler is aboard and reports everything is going well. Founded March 28, 1941 Sierra Affiliated with the Sailors' Union of the Pacific ESU Board officer visited the vessel at anchorage 9 in San Francisco on April 5. P.O. Box 754, Seabrook, TX 77586 Prior to arriving San Francisco the vessel completed a partial discharge at Tesoro Tel (832) 295-3047 Cell (713) 306-9528 86, Long Beach. Deck Trustee, Kevin Conroy just joined in San Francisco and will Fax (832) 201 0441 E-Mail: [email protected] fill in for the Regular Ship Rep. Thor Floreen. Thor has been on sick leave but President/Secretary John Straley should return to duty shortly. Vice President/Treasurer Leo DeCastro Deck Trustee Kevin Conroy Board Member at Large Joe Bernavich Engine Trustee William Ackley The ESU News is written and edited by the Exxon Seamen’s Union. Board Member at Large John McCarthy Steward Trustee Kurt Kreick Page 8 WEST COAST SAILORS Friday, April 20, 2012 SIU Pacific District Pension Plan Notes The Plan provides two types of pension — Deferred Vested Pensions and Pen- · January 1 following the calendar year in which you fail to complete at least 62 sions Vesting at Retirement. The latter is employer subsidized early retirement Days of Service benefits. If you qualify for more than one pension, you will receive only the one If you attained age 70½ prior to January 1, 1996, please consult the Plan Office that is the largest. A few highlights from the SIU Pacific District Pension Plan rules for details on the calculation of your benefit. are outlined below: If you work past your Normal Retirement Age or commence your pension after Deferred Vested Pension your Normal Retirement Age, any benefits payable to you shall be no less than the The Plan provides a Deferred Vested Pension benefit payable at Normal Retire- actuarial equivalent of the benefit to which you would have been entitled at your ment Age (usually age 65). The amount of the benefit depends on the pension Normal Retirement Age. credits accumulated. Integration Agreements One Year of Vesting Service The SIU Pacific District Pension Plan entered into INTEGRATION AGREE- 125 days of covered employment within a calendar year MENTS with (1) the Chevron/SUP/Marine Pension Plan and (2) the San Francisco Benefit Credits Bar Pilots Marine Pension Plan. 125-199 days: pro rata benefit 200 days: full year vested benefit credit Example Calculation for a Pro-rata Benefit(s): Vesting Requirements Applicant is age 60 Before August 1, 1999, 10 years of vesting service for active employees. After Applicant has accumulated in excess of 25.000 Qualifying Years. July 31, 1999, five years of vesting service for active employees. Applicant is entitled to receive the current maximum amount of $1,700.00 If following a Plan participant’s most recent year of vesting service, a participant SIU-PD Pension Plan: 27.500 Qualifying Years with less than 10 aggregate years of vesting service has one or more one-year Chevron Marine Pension Plan: 7.000 Qualifying Years service breaks before January 1, 1999, then the required number of aggregate years Total Qualifying Years: 34.500 of vesting service shall continue to be 10, until the participant completes one year of $1,700.00 ÷ 34.500 Qualifying Years = $49.2754 vesting service after December 31, 1998. $ 49.2754 x 27.500 = $1,355.07 SIU-PD Pension Plan (Exceptions to the above vesting periods may apply $ 49.2754 x 7.000 = $ 344.93 Chevron Marine Pension Plan in accordance with break in service rules.) 34.500 $1,700.00 Breaks in Service The calculation pertaining to the San Francisco Bar Pilots Integration Agreement Until your benefit is “vested”, you may lose your accumulated pension credits if is identical. you have a Break in Service. Prior to January 1, 1985, you experience a Break in Service for purposes of the Deferred Vested pension if the number of consecutive calendar years in which you have 62 or fewer days of service equals or exceeds the The SIU Pacific District Pension Plan does not integrate with either Plan for number of accumulated prior calendar years in which you had 125 or more days of VESTING PURPOSES. service provided, however, that from January 1, 1985 and after, you will not suffer Space does not allow a full listing of the SIU-PD Pension Plan rules. Ques- a Break in Service until you have at least five consecutive calendar years of vesting tions regarding Exceptions, Break-in-Service rules or Accumulated Vesting or with 62 or fewer days of service. Your accumulated years of vesting service cannot Qualifying Time should be directed to the Plan Office. include years lost because of a previous break in service. SIU Pacific District Pension Plan: 415-764-4987 (Above is a brief extract from the break in service rules only. Contact the Plan Office for discussion of how break in service rules may apply to your particular circumstances.) SUMMARY ANNUAL REPORT FOR Pensions Vesting at Retirement SIU PACIFIC DISTRICT SUPPLEMENTAL The following pensions may be payable before Normal Retirement Age based on the number of qualifying years earned within the applicable qualification period: BENEFITS FUND, INC. Pension Type Qualifying Years Requirement Minimum Age This is a summary of the annual report of the SIU Pacific District Supplemental Long Term 25 55 Benefits Fund, Inc., EIN 94-1431246 for the year ended July 31, 2011. The annual Basic 20 55 report has been filed with the Employee Benefits Security Administration, as re- Reduced 15-19 65 quired under the Employee Retirement Income Security Act of 1974 (ERISA). Disability Minimum of 10 years Any age Benefits under the Plan are provided by the SIU Pacific District Supplemental Benefits Fund, Inc., a Trust Fund. Year of Qualifying Time 200 days of covered employment within a calendar year equals a full year of Basic Financial Statement qualifying time. Less than 200 days within a calendar year will earn a pro rata The value of plan assets, after subtracting liabilities of the plan, was $(270,015) partial year of qualifying time. No credit will be earned for covered employment in as of July 31, 2011, compared to $94,919 as of August 1, 2010. During the plan excess of 200 days in any calendar year. year the plan experienced a decrease in its net assets of $364,934. This decrease includes unrealized appreciation or depreciation in the value of plan assets; that is, Loss of Qualifying Time the difference between the value of the plan’s assets at the end of the year and the A Plan participant shall lose all qualifying time credit if he or she: value of the assets at the beginning of the year or the cost of assets acquired during 1. Has failed to maintain seniority shipping rights under the provisions of the the year. During the plan year, the plan had total income of $8,520,451, which Collective Bargaining Agreement; or included employer contributions of $8,509,377, realized losses of $1,810 from the 2. Has failed to work at least one day in covered employment or in a non-covered sale of assets, and earnings from investments of $12,844. standby employment for a contributing employer in any two calendar year period Plan expenses were $8,885,385. These expenses included $408,878 in adminis- after having attained seniority shipping rights; or trative expenses and $8,476,507 in benefits paid to participants. 3. Did not have seniority shipping rights on June 15, 1965, under the provisions Your Rights to Additional Information of the Collective Bargaining Agreement, provided that a Plan participant shall be You have the right to receive a copy of the full annual report, or any part thereof, deemed to have seniority shipping rights on June 15, 1965, if he or she was working on request. The items listed below are included in that report: in covered employment on June 15, 1965, or was eligible for registration or em- 1. An accountant’s report; ployment on a seniority basis on that date at one of the hiring halls of the Pacific District Unions. 2. Financial information and information on payments to service providers; Any such Plan participant who reenters covered employment after having so 3. Assets held for investment; and forfeited his qualifying time shall accumulate qualifying time only after the date he 4. Transactions in excess of 5% of plan assets. or she last forfeited Qualifying time. To obtain a copy of the full annual report, or any part thereof, write or call the A Plan participant cannot lose previously acquired qualifying time if he or she has office of SIU Pacific District Supplemental Benefits Fund, Inc., at 730 Harrison fulfilled all of the eligibility requirements for a Basic or Long Term Pension at any Street, Suite 400, San Francisco, CA 94107, telephone number (415) 764-4990. time since June 16, 1978. The charge to cover copying costs will be $4.25 for the full annual report, or $0.25 Normal Retirement Age per page for any part thereof. and Special Rules for Participants over Age 70½ You also have the right to receive from the plan administrator, on request and at no charge, a statement of the assets and liabilities of the plan and accompanying notes, or Your Normal Retirement Age under the Plan is age 65, provided you have: a statement of income and expenses of the plan and accompanying notes, or both. If · Completed at least five Aggregate Years of Vesting Service if you have at least you request a copy of the full annual report from the plan administrator, these two one Day of Service after July 31, 1999; or statements and accompanying notes will be included as part of that report. The charge · Completed at least 10 Aggregate Years of Vesting Service if you do not have at to cover copying costs given above does not include a charge for the copying of these least one Day of Service after July 31, 1999. portions of the report because these portions are furnished without charge. If upon attaining age 65 you have not satisfied either of the conditions above, You also have the legally protected right to examine the annual report at the main your Normal Retirement Age is the fifth anniversary of your date of Participation, office of the plan at 730 Harrison Street, Suite 400, San Francisco, CA 94107, and provided you have not had a Break in Service. at the U. S. Department of Labor in Washington, D.C., or to obtain a copy from the Special rules apply if you are age 70½ or older and are still actively employed by U. S. Department of Labor upon payment of copying costs. Requests to the Depart- a Contributing Employer. If you attain age 70½ on or after January 1, 1996, you ment should be addressed to Public Disclosure Room, Room N1513, Employee will be required to commence retirement the later of: Benefits Security Administration, U.S. Department of Labor, 200 Constitution · April 1 following the calendar year in which you attain age 70½, and Avenue, N. W., Washington, D.C. 20210. Friday, April 20, 2012 WEST COAST SAILORS Page 9 SUMMARY ANNUAL REPORT FOR SUMMARY ANNUAL REPORT FOR SUP WELFARE PLAN, INC. ANDREW FURUSETH SCHOOL OF This is a summary of the annual report of the SUP Welfare Plan, Inc., EIN 94- SEAMANSHIP TRAINING PLAN 1243666, for the year ended July 31, 2011. The annual report has been filed with the Department of Labor, as required under the Employee Retirement Income Se- This is a summary of the annual report of the Andrew Furuseth School of Sea- curity Act of 1974 (ERISA). manship Training Plan, EIN 30-0162507, for the year ended July 31, 2011. The annual report has been filed with the Employee Benefits Security Administration, as The Board of Trustees of SUP Welfare Plan, Inc. has committed itself to pay required under the Employee Retirement Income Security Act of 1974 (ERISA). certain medical, dental and death claims incurred under the terms of the plan. Insurance Information Basic Financial Statement The value of plan assets, after subtracting liabilities of the plan, was $772,347 as The plan has contracts with Health Net, Kaiser Foundation Health Plan of the of July 31, 2011 compared to $870,984 as of August 1, 2010. During the plan year, Northwest, Kaiser Foundation Health Plan of Hawaii, Kaiser Foundation Health the plan experienced a decrease in its net assets of $98,637. The plan had total Plan, Inc., Dental Health Services of Washington, Group Health Cooperative, income of $466,316 including employer contributions of $462,484, earnings from BlueCross BlueShield of Louisiana, Guaranty Assurance Company, MHN Services, investments of $2,701 and other income of $1,131. Delta Dental of California, UnitedHealthcare Insurance Company and The United States Life Insurance Company in the City of New York to pay certain medical, Plan expenses were $564,953. These expenses included $105,807 in administra- dental, and death claims incurred under the terms of the plan. The total premiums tive expenses and $459,146 in benefits paid to or for participants. paid for the plan year ending July 31, 2011 were $4,307,659. Your Rights to Additional Information Basic Financial Statement You have the right to receive a copy of the full annual report, or any part thereof, The value of plan assets, after subtracting liabilities of the plan, was $14,428 ,002 on request. The items listed below are included in that report: as of July 31, 2011, compared to $14,291,087 as of August 1, 2010. During the 1. An accountant’s report; plan year the plan experienced an increase in its net assets of $136,915. This in- 2. Financial information and information on payments to service providers; and crease includes unrealized appreciation or depreciation in the value of plan assets; 3. Assets held for investment. that is, the difference between the value of the plan’s assets at the end of the year To obtain a copy of the full annual report, or any part thereof, write or call the and the value of the assets at the beginning of the year or the cost of assets acquired office of Andrew Furuseth School of Seamanship Training Plan, 730 Harrison Street, during the year. During the plan year, the plan had total income of $6,775,836, Suite 415, San Francisco, CA 94107, and telephone (415) 778-5490. The charge to including employer contributions of $6,103,185, employee contributions of $45,173, cover copying costs will be $1.75 for the full annual report, or $.25 per page for realized losses of $119,452 from the sale of assets, earnings from investments of any part thereof. $710,861, and other income of $36,069. You also have the right to receive from the plan administrator, on request and at Plan expenses were $6,638,921. These expenses included $808,847 in adminis- no charge, a statement of the assets and liabilities of the plan and the accompanying trative expenses and $5,830,074 in benefits paid to participants and beneficiaries. notes, or a statement of income and expenses of the plan and accompanying notes, Your Rights to Additional Information or both. If you request a copy of the full annual report from the plan administrator, You have the right to receive a copy of the full annual report, or any part thereof, these two statements and the accompanying notes will be included as part of that on request. The items listed below are included in that report: report. The charge to cover copying costs does not include a charge for the copying 1. An accountant’s report; of these portions of the report because these portions are furnished without charge. 2. Financial information and information on payments to service providers; You also have the legally protected right to examine the annual report at the main 3. Assets held for investment; office of the Plan at 730 Harrison Street, Suite 415, San Francisco, CA 94107, and at the U.S. Department of Labor in Washington, D.C., or to obtain a copy from the 4. Transactions in excess of 5% of plan assets; and U.S. Department of Labor upon payment of copying costs. Requests to the Depart- 5. Insurance information including sales commissions paid by insurance carriers. ment should be addressed to Public Disclosure Room, Room N1513, Employee To obtain a copy of the full annual report, or any part thereof, write or call the Benefits Security Administration, U.S. Department of Labor, 200 Constitution office of SUP Welfare Plan, Inc., who is the plan administrator, at 730 Harrison Avenue, N.W., Washington, D.C. 20210. Street, Suite 415, San Francisco, CA 94107, telephone (415) 778-5490. The charge to cover copying costs will be $28.75 for the full report, or $.25 per page for any part thereof. You also have the right to receive from the plan administrator, on request and at SUMMARY ANNUAL REPORT FOR no charge, a statement of the assets and liabilities of the plan and accompanying notes, or a statement of income and expenses of the plan and accompanying notes, SIU PACIFIC DISTRICT SEAFARERS’ or both. If you request a copy of the full annual report from the plan administrator, these two statements and accompanying notes will be included as part of that report. MEDICAL CENTER FUND The charge to cover copying costs given above does not include a charge for the This is a summary of the annual report of the SIU Pacific District Seafarers’ copying of these portions of the report because these portions are furnished without Medical Center Fund, EIN 94-2430964 for the year ended June 30, 2011. The charge. annual report has been filed with the Department of Labor, as required under the Employee Retirement Income Security Act of 1974 (ERISA). You also have the legally protected right to examine the annual report at the main office of the Plan at 730 Harrison Street, Suite 415, San Francisco, CA 94107, and Benefits under the plan are provided by the SIU Pacific District Seafarers Medi- at the U.S. Department of Labor in Washington, D.C., or to obtain a copy from the cal Center Fund, a trust fund. U.S. Department of Labor upon payment of copying costs. Requests to the Depart- Basic Financial Statement ment should be addressed to Public Disclosure Room, Room N1513, Employee The value of plan assets, after subtracting liabilities of the plan, was $(78,131) as Benefits Security Administration, U.S. Department of Labor, 200 Constitution of June 30, 2011, compared to $(124,844) as of July 01, 2010. During the plan year Avenue, N.W., Washington, D.C. 20210. the plan experienced an increase in its net assets of $46,713. During the plan year, the plan had total income of $586,299, including employer contributions of $581,925, earnings from investments of $191 and other income of $4,183. Plan expenses were $539,586. These expenses included $133,477 in administra- tive expenses, and $406,109 in benefits paid to participants and beneficiaries. Pirates transferred from Your Rights to Additional Information You have the right to receive a copy of the full annual report, or any part thereof, on request. The items listed below are included in that report: 1) An accountant’s Seychelles to Somaliland report; 2) Financial information and information on payments to service providers; The United Nations has transferred 17 convicted Somali pirates to prisons in and 3) Assets held for investment. Somaliland because of overcrowding in Seychelles prisons. Seychelles Transport To obtain a copy of the full annual report, or any part thereof, write or call the and Home Minister Joel Morgan said this is the first time pirates have been moved office of SIU Pacific District Seafarers’ Medical Center Fund, 730 Harrison St., to Somaliland to complete their sentences, the Associate Press reported on March 29. Suite 400, San Francisco, CA 94107, (415) 392-3611. The charge to cover copying He added that it would lead to more pirate transfers in the future to the autonomous costs will be $2.00 for the full annual report, or $.25 per page for any part thereof. regions in Somalia of Somaliland and Puntland. You also have the right to receive from the plan administrator, on request and at no The government has said that Somali pirates make up about one-fifth of the 500 charge, a statement of the assets and liabilities of the plan and accompanying notes, or captives in the main Montagne Posee Prison in Seychelles. a statement of income and expenses of the plan and accompanying notes, or both. If It has long been unclear where captured pirates should be imprisoned, particu- you request a copy of the full annual report from the plan administrator, these two larly while Somalia itself remains locked in chaotic conflict, noted Reuters, which statements and accompanying notes will be included as part of that report. The charge added that the transfer followed a Somali deal on piracy signed in London in Febru- to cover copying costs given above does not include a charge for the copying of these ary. “This prisoner transfer represents an important step forward in ensuring pi- portions of the report because these portions are furnished without charge. rates are brought to justice,” Britain’s Africa Minister Henry Bellingham said. You also have the legally protected right to examine the annual report at the main Funding from the UN Development Program helped to build the prison in office of the plan, at 730 Harrison Street, Suite 400, San Francisco, CA 94107, and Somaliland’s capital Hargeisa, where the pirates are kept separated from other pris- at the U.S. Department of Labor in Washington, D.C. or to obtain a copy from the oners. Meanwhile, Puntland in northeastern Somalia is setting up a new base and U.S. Department of Labor upon payment of copying costs. Requests to the Depart- recruiting more personnel for its Maritime Police Force, set up in 2010 with finan- ment should be addressed to: Public Disclosure Room, N-1513, Employee Benefits Security Administration, U.S. Department of Labor, 200 Constitution Avenue, N.W., cial support from the United Arab Emirates and training by security company Saracen Washington, D.C. 20210. International. Page 10 WEST COAST SAILORS Friday, April 20, 2012 SUP President's Report

April 9, 2012 ber 31, 2013, and unless this sunset date is deleted, tive Plan, was proposed by the company and agreed to California will experience the third collapse of the by the Union during collective bargaining in 1995. JONES ACT marine fuel industry in the last 20 years. This will It should be noted that the bonus is in addition to the result in the loss of jobs and associated business and 3% increase in wages and wage-related items (over- tax receipts that this industry provides. The fight to maintain American cabotage –specifi- time, vacation pay) that became effective February 1, cally the Jones Act– is unending. The partial exemption was allowed to expire in in accordance with 2012-2017 agreement between the 1993 and 2003. Following both of these lapses, the SUP and Chevron. On March 27, Senator John McCain (R-Arizona) in- state experienced an immediate drop of about 60% troduced four amendments to Senate Bill 2204 (Repeal In addition, this year’s wage increase and the bonus of marine fuel sales, which devastated the industry Big Oil Tax Subsidies Act), a bill to extend tax credits on last year’s straight-time earnings does not include and led to the closing of businesses and consequent for renewable energy projects and repeal tax breaks for the company’s yearly matching contribution to a par- job loss. Each time the Legislature responded by the oil and gas industry. McCain’s amendments would ticipating SUP member’s Chevron 401(k) plan. A reinstating the partial exemption the following year, member participates in this profit sharing program by have repealed or waived the Jones Act as it applies to which allowed for a slow but painful recovery. Un- contributing 2% of his/her monthly base wage to the oil and petroleum product tank vessels, liquefied natu- fortunately with each lapse, some market share was Plan. That contribution is then matched by a company ral gas (LNG) vessels and small passenger vessels. lost to competing fueling ports in other states and contribution. Fortunately, McCain was stymied in his attempt to nations. kill American cabotage by Senate Majority Leader Ships that purchase marine fuels have the ability Harry Reid (D-Nevada) who used his authority to limit QUARTERLY FINANCE to shop for that product from many ports located the number of amendments to S.B. 2204. The issue around the world. Being a highly competitive mar- COMMITTEE became moot when the Senate voted 51-47 to stall S.B. ket, and with fuel costs comprising about 60% of a 2204. Under Senate rules at least 60 votes are neces- ship’s variable operating costs, the imposition of the In accordance with Article XVII, Section 2, of the sary to bring a bill to the floor for debate, amendment full SUT on fuel sales would price California out of SUP Constitution, a Quarterly Finance Committee shall and vote. this market. All other competing ports throughout be elected at today’s Headquarters’ meeting to review On March 28, McCain acknowledged that his amend- the United States and in other nations exempt the the finances of the Union for the first quarter of 2012, ments would be “denied,” but reaffirmed his career- sale of fuel used in international commerce. and report back to the membership at the May coast- long opposition to the Jones Act by stating that: “I think With the adoption of regulations in 2007 for man- wise meetings. the Jones Act should be repealed – repealed com- datory consumption of clean marine fuels by ships In the event the Committee cannot be filled today, pletely.” He added, “But if it cannot be repealed, in California waters, which will be followed by the recommend that when the quarterly audit is completed, couldn’t we at least waiver the Jones Act restrictions expansion of clean fuel requirements within 200 nau- which will be in about three weeks, necessary Com- on coastwise trade for oil and gas tankers?” tical miles of the United States and Canada in Au- mittee members be shipped off the hiring hall deck as As the membership will recall, McCain was promi- gust of 2012, there is already a growing market for per past practice. The Quarterly Finance Committee nent among those who charged –inaccurately and irre- clean marine fuel sales in California. It is impera- will turn-to on Monday, May 14, at 8:00 A.M. sponsibly– that the Jones Act was an impediment to tive that California sustain the marine fuel business the emergency response and oil spill cleanup effort and the jobs it generates. during the Deepwater Horizon crisis in the Gulf of SUP ELECTION INFORMATION The Sailors’ Union of the Pacific again urges you Mexico in 2010. His unsuccessful legislation during to support AB 1243. the crisis was an attempt to exploit public and political The triennial election of SUP officers and refer- anger to satisfy his senseless, dangerous obsession with As of today’s meeting, a hearing on Senator enda on proposed amendments to the SUP Constitu- Jones Act repeal. Lowenthal’s legislation has not been scheduled. How- tion and Shipping Rules will commence on Decem- ever, the California Labor Federation, Inlandboatmen’s The measures introduced by McCain complement ber 1, 2012, and will conclude on January 31, 2013. Union, Master Mates and Pilots, SIU-A&G and the efforts by foreign-flag interests and some limited pres- Although nominations for elective office will not Pacific Merchant Shipping Association have joined the occur until September, the membership is reminded sure in the public and private sectors in Hawai’i, Alaska SUP in supporting the Lowenthal bill. and the territories of Puerto Rico and Guam for ex- that in accordance with Article XXVII of the SUP Urge all members in California interested in protect- emptions from domestic shipping laws and a renewed Constitution, proposed Constitution and Shipping ing our work to write their legislators in support of push to strip the Jones Act of its requirement that ves- Rule changes must be submitted, in writing, to any Senate Bill 1243. sels operating exclusively between U.S. ports be built Headquarters or Branch meeting by June. in U.S. shipyards. Resolutions submitted will be referred to a rank- The SUP will continue to work with others in the MIDDLE HARBOR TERMINAL and-file Committee on Constitution elected at the maritime industry and members of Congress to ensure June coastwise meetings. The Committee, as per the that Section 27 of the Merchant Marine Act of 1920 On March 13, met with Bob Stephens, APL Director Constitution, will consist of three members from (Jones Act), which reserves all domestic waterborne of Labor Relations, to discuss the future of the Headquarters and one member elected at the Se- commerce for merchant vessels owned, crewed, built company’s Middle Harbor Terminal in Oakland, also attle, Wilmington and Honolulu Branch meetings. and flagged in the United States, remains the law of known as Global Gateway Central. this nation. Stephens stated that the company is considering ei- ACTION TAKEN ther suspending operations at the terminal or shutting it down completely. The move is driven by costs with BUNKER TAX LEGISLATION Quarterly Finance Committee: Nominated and elected: the company asserting that the terminal has the highest Romaine Dudley, Kaj Kristensen, Diane Ferrari, Dave cost per container lift and is the least efficient con- Larsen, Mike Worth, and Frank Portanier. As the membership will recall, in 2003 the reimposi- tainer terminal in APL’s network. In addition to Oak- tion of the tax on marine fuels (bunkers) purchased in land, APL operates terminals in Los Angeles, Seattle, M/S to concur with the balance of the President’s California for out-of-state use had an adverse impact report. Carried unanimously. Dutch Harbor, Yokohama, Kobe and Kaohsiung. The Gunnar Lunderberg on those employed in the bunkering industry in Cali- company also has joint-venture interests in terminals fornia, including SUP members employed by Foss in Laem Chabang, Thailand, and Ho Chi Minh City Maritime Company. (Saigon), Vietnam. Titanic survivors speak The SUP in conjunction with other maritime Unions, APL has begun an analysis to determine whether or the California Labor Federation and companies, includ- not shutting down the terminal and shifting vessels to on maritime safety ing Foss, belonging to the Pacific Merchant Shipping another Oakland terminal is feasible. Under this sce- Association were successful in getting legislation passed The following statement was issued by survivors of nario, APL would be a client of another terminal op- the Titanic in New York on April 18, 1912; 1,514 pas- and signed by then Governor Gray Davis to kill the erator which in turn could put the container steaming bunker tax. That exemption expires on December 31, sengers and crew perished when the ship sank on operation at Middle Harbor, which employs SUP sail- April 15, 1912: of next year. ors, at risk. State Senator Alan Lowenthal (D-Long Beach) has “We feel it our duty to call the attention of the public Anticipate more meetings on this issue as APL plans, to what we consider the inadequate supply of lifesaving drafted legislation that would remove the sunset date according to Stephens, to make a decision by mid-year. of the exemption. appliances provided for on modern passenger steam- ships, and recommend that immediate steps be taken to On March 22, your secretary sent a letter to Senator compel passenger steamers to carry sufficient boats to Lois Wolk, Chair of the Senate Governance and Fi- CHEVRON SHIPPING COMPANY accommodate the maximum number of people carried nance Committee in support of Senator Lowenthal’s bill: on board. The following facts were observed and should Dear Senator Wolk: The Sailors’ Union was informed by Chevron last be considered in this connection: month, that as a result of the company’s profits in 2011, On behalf of the membership of the Sailors’ Union The insufficiency of lifeboats, rafts, etc.; lack of and other criteria, all full-time Chevron marine em- of the Pacific, I write in support of SB 1243 trained seamen to man same—stokers, stewards, etc., ployees, as well as those employed by Chevron Corpo- (Lowenthal), which will remove the sunset date for are not efficient boat handlers; not enough officers to the existing partial SUT (Sales and Use Tax) exemp- ration, received a 10.8% bonus based on 2011 straight- carry out emergency orders on the bridge to superin- tion on the purchase of marine fuels in California. time earnings. tend the launching and control of lifeboats; absence of This exemption is scheduled to expire on Decem- The bonus program, known as the Chevron Incen- searchlights.” Friday, April 20, 2012 WEST COAST SAILORS Page 11 Bipartisan call for full funding of Vice President's Report the Maritime Security Program April 2012 In sharp contrast to the gridlock that has dominated Congress this year, a biparti- san group of 34 legislators is urging the House of Representatives to approve full Lurline: Bill Berry relieved Noel debated in the context of new bids, bud- funding for the Maritime Security Program (MSP) for fiscal year 2013. Itsumaru as delegate. Boarded in Oak- get wars in Washington and overall mili- Led by House Armed Services Committee Chairman Howard “Buck” McKeon land shortly before departing on the fi- tary strategy. (R-California) and Ranking Member Adam Smith (D-Washington), the group wrote nal voyage before layup. No problems. Adm. Callaghan: Allen Gonzalez, to the House Appropriations Subcommittee on Transportation, Housing and Urban Remoni Tufono, bosun. bosun. Ship activated and shifted to the Development, and Related Agencies last month requesting MSP funding. That let- Mississippi Voyager: Bryan Short, old Concord Naval Weapons Station at ter follows: delegate. Delegate read the President’s Port Chicago to serve as a platform for a “We are writing to request that funding for the Maritime Security Program (MSP) Report in the West Coast Sailors and security drill. Shipped 4 AB’s and 4 be included in the Fiscal Year 2013 appropriations bill for the Departments of Trans- noticed a discrepancy between actual and OS’s. Outstanding work by both surge portation, Housing and Urban Development, and Related Agencies in the amount of negotiated pay rates for the AB mainte- and steady sailors in the Ready Reserve $186 million, the same amount proposed to be obligated by the Administration. This nance sailors in the riding gang known Force. All fast in Alameda with no beefs. amount is the minimum necessary to ensure that the U.S. Maritime Administration, in as the “tiger team.” Informed SUP HQ USNS Martin: Nick Mannessiotis, conjunction with the Department of Defense, has the Congressionally-authorized amount and after considerable investigation and delegate. Ship participated in Operation available to fully implement the MSP for FY 2013 as set forth in Public Law 108-136, discussion the Company agreed that an Freedom Banner 2012 in Korea and then the National Defense Authorization Act for Fiscal Year 2004. error had been made. Retroactive pay returned to homeport. Bosun James pro-rated to March 1, is forthcoming. The MSP was originally enacted to ensure that the United States has the U.S.-flag Bailey banging out the work SUP-style. commercial sealift capability and trained U.S. citizen merchant mariners available Florida Voyager: Robert Turner, del- Still slated for October layup to crew the government and privately-owned vessels needed by the Department of egate. In good shape at Richmond Long Mahimahi: Dave Kaupiko, delegate. Defense in time of war or other international emergency. Most importantly, the Wharf with a solid SUP gang. Calling at Boarded in the rain in Oakland. Discus- Maritime Security Program and the uninterrupted operation of its maritime security Cherry Point with refined product. Ron sion on proposals for Committee on Con- fleet of 60 U.S.-flag militarily-useful commercial vessels ensures that America will Gill is the bosun. Notification made (as stitution. Watchstanders make less over- in fact be able to support and supply our troops overseas. It guarantees that Ameri- on all the ships) about the impending time than the daymen in part because of can flag vessels and American crews will continue to be available to transport the meeting of the SUP Committee on Con- the new (2008) weekend guarantee for supplies and equipment our troops need to do their job in behalf of our nation. stitution in June. Amendments to the SUP daymen and in part because the one-man Constitution or Shipping Rules should be It is extremely important to note that the failure to approve the requested funding watch increased callouts after 1700 and submitted to the Union before June meet- for the Maritime Security Program will not only put American troops at risk, but before 0800. The disparity has a prece- ings. will weaken America’s overall security interests and will cost the American tax- dent: when ships carried a bosun, car- payer significantly more than the amount requested for FY 2013 for the MSP. With- President Truman: Arsenio penter, a three-man watch, two or three out having the MSP and its maritime security fleet to rely on, the options available Purganan, delegate. After an unsuccess- daymen and three ordinary seamen there to the Department of Defense and to our country to meet America’s commercial ful attempt at resolution aboard ship, the was not a lot of overtime for the sealift capability requirements are totally unacceptable. Company later agreed to pay all penalty watchstanders. meal claims submitted by the Union from On the one hand, our country would be faced with the option of giving foreign Moku Pahu: Cody Clark, delegate. last voyage. Although STCW rest hour flag shipping interests and their foreign mariners, interests who may not share Richard Crowell is the bosun. Re-crewed rules are not in full force and effect in America’s goals, objectives and values, the responsibility for supporting and ad- in a Shanghai yard and headed for Maui the U.S., (because the USCG has not vancing America’s security interests overseas. These foreign flag shipping services for a load of sugar for Crockett. Pos- yet written the regulations) they can be will have to be paid for by the United States and it means our country will be sible government grain run to Bangladesh enforced by port state control in U.S encouraging the outsourcing of American maritime jobs as we spend taxpayer dol- after that. ships in foreign ports. The rules are that lars on foreign-flag ships and their foreign crews. Mokihana: Dennis Belmonte, del- anyone with watchstanding or safety or On the other hand, our country would be faced with the option of having the De- egate. In at Oakland with few problems. security duties must gain a minimum of Patrick Weisbarth is the relief bosun. partment of Defense build, maintain and operate the requisite vessels itself, at a 77 hours of rest in any 7 day period and tremendous cost to the American taxpayer. In fact, a 2006 report prepared for the Ordinary seamen that have the seatime 10 hours of rest in a 24 hour period. for the upgrade to AB must do so and National Defense Transportation Association-Military Sealift Committee concluded The rest period should not be split into that “the likely cost to the government to replicate just the vessel capacity provided by clear out the billet for the next OS trying more than 2 periods, one of which must to break in. the MSP dry cargo vessels would be $13 billion.” In addition, the United States be 6 consecutive hours with the interval Maui: Duke Maringer, delegate. No Transportation Command has estimated that it would cost the U.S. government an between periods not more than 14 hours. additional $52 billion to replicate the “global intermodal system” that is made avail- problems in Oakland. Bosun is Knud APL China: Bob Strabbing, delegate. able to the Department of Defense by MSP participants who are continuously devel- Rasmussen. AB Harry Ibanyan made expert oping, maintaining and upgrading their systems. In contrast, the commercial mari- Manoa: Jerry Komoto, delegate. Fresh eyesplices for two parted mooring lines time industry, through the MSP, will provide the Department of Defense with these from the yard in China meaning it will in Korea. No problems. same vessels and global intermodal system at a cost to the taxpayer of $186 million in take a lot of work to clean her up. Don FY 2013, a fraction of what it would cost our government to do the jobs itself. APL Coral: Quentin Brown, delegate. Bohle is the bosun. Strong winds of a sudden sandstorm In other words, without funding the MSP and ensuring the continued operation of Lihue: Daniel Tun, delegate. Union parted eight lines in a single night in Jebel its maritime security fleet, America would either have to place the safety of our meeting with the gang just before shift Ali. Crew turned to and repeatedly se- troops and the security of our nation in the hands of foreign shipping interests or be to SFO yard and layup. Two week acti- cured the ship, and then spent the next forced to spend billions of dollars more of the taxpayer’s dollars to achieve the vation was fun while it lasted. Paul day splicing. Bosun Roger Berioso sent commercial sealift capability that will be lost if the requested funds for MSP are not Fuentes, bosun. his thanks to the AFSS for the instruc- appropriated. tional DVD on splicing that was helpful Foss Maritime Company: JD Rymel, During Congressional consideration of the reauthorization of the MSP in 2003, to some as a refresher. delegate. Still investigating mileage re- General John W. Handy, Commander in Chief, United States Transportation Com- imbursement for scheduled tankermen. Cape Orlando: Mike Worth, bosun. mand, told Congress that: “As we look at operations on multiple fronts in support of The future of the Ready Reserve Force Dave Connolly the War on Terrorism, it is clear that our limited defense resources will increasingly rely on partnerships with industry to maintain the needed capability and capacity to meet our most demanding wartime scenarios...MSP is a cost-effective program that assures guaranteed access to required U.S.-flag commercial shipping and U.S. merchant mariners when needed...MSP is a vital element of our military’s strategic sealift and global response capability.” We again ask that you support this highly efficient and low-cost public-private partnership by including $186 million in your Subcommittee’s FY 2013 appropria- tions legislation in order to fully implement the MSP. In so doing, you will be saving the American taxpayer billions of dollars because the Department of Defense will be able to utilize privately-owned U.S.-flag vessels to meet its commercial sealift re- quirements rather than buying and maintaining this capability on its own.” In addition to Representatives McKeon and Smith, the other co-signers were: Tim Bishop (D-New York), Madeleine Bordallo (D- Guam), Corrine Brown (D- Florida), Howard Coble (R-North Carolina), Elijah Cummings (D-Maryland), Norm Dicks (D-Washington), John Duncan (R-Tennessee), Bob Filner (D-California), Michael Grim (R-New York), Janice Hahn (D-California), Brian Higgins (D-New York), Maxie Hirono (D-Hawai’i), Duncan Hunter (R-California), Jim Langevin (D-Rhode Island), Rick Larsen (D-Washington), Daniel Lipinski (D-Illinois), Frank LoBiondo (R-New Jersey), Jim McDermott (D-Washington), Mike McIntyre (D- North Carolina), Michael Michaud (D-Maine), Nick Rahall (D-West Virginia), Laura Richardson (D-California), Cedric Richmond (D- Louisiana), Scott Rigell Gang in the APL Coral in Dubai, March 19. Due to windy conditions in Jebel Ali, the (R-Virginia), C.A. Ruppersberger (D-Maryland), Linda Sanchez (D-California), gang parted eight mooring lines in one night. Taking a break from splicing are from left: Loretta Sanchez (D-California), Albio Sires (D-New Jersey), Bennie Thompson Bosun Roger Berioso, Dennis Sumague, James Salera, STOS Van Bularz, and Delegate (D-Mississippi), Allen West (R-Florida), Don Young (R-Alaska) Quentin Brown. Wilson Abanto, not pictured, was on watch. Page 12 WEST COAST SAILORS Friday, April 20, 2012 SUP Branch Reports

On February 14, I was invited to a Seattle meeting in the Seattle Mayor’s office Wilmington Honolulu along with ILWU Local President Cam Williams and ILWU District Council Dan March 19, 2012 March 19, 2012 March 19, 2012 McKisson to hear Mayor Mike McGinn Four boatswain jobs shipped and filled Shipped during the period: 2 bosuns, layout a proposal for a new basketball Shipped the following jobs in March: with 1 A-member to a regular job and 3 Arena in the SODO district south of the 10 ABs, 4 AB maints. and 51 standbys 1 bosun relief, 2 AB day steady, 2 AB B-members to USNS vessels; 11 Able baseball and football stadiums. Also for a total of 67 jobs shipped. day relief, 2 AB day return, 3 AB watch Seaman shipped and filled with 4 A’s, 3 present were the Building Trades, Registration: 33 A cards, 29 B cards, steady, 2 AB watch relief, 1 OS steady, B’s, 3 C members and 1 registrant; 1 UNITE HERE and two representatives 11 C cards and 11 D registrants. and 2 AB maint steady. The shipping jobs STOS shipped. No standbys were called of Seattle City Unions that may benefit Ships Checked were filled by 7 A cards, 4 B cards, 3 C this month. cards, and 1 D card. from possible work in this proposed multi Matsonia, Maunalei, APL China, Registered 15 A cards for a total of Also shipped 28 standby jobs. The event arena. The maritime unions imme- Maunalei, Mokihana, P.J. Pfeiffer, APL 26; 8 B cards for a total of 34; and 3 C standby jobs were filled by 7 A cards, 7 diately rejected this proposal. We know Philippines, Oregon Voyager, Matsonia, cards for a total of 12. B cards, 6 C cards, and 8 D cards. firsthand that more traffic congestion in Manukai, APL Singapore and Manulani. Ships Checked the dock areas will have a negative im- Registered in March: 8 A cards; 4 B On February 23, along with MFOW’s Matson vessels Mahimahi and Maui pact on trucks getting on and off the cards; 3 C cards; and 2 D cards. To date Bob Bugarian, attended the MTD lunch called twice in Seattle with little or no marine terminals. The SUP/MFU’s Wil totaled registered are: 12 A cards; 8 B meeting at the Teamsters’ hall. The guest problems. The C-10 vessels Presidents Williamson testified before an “Arena cards; 6 C cards; and 7 D cards. speaker was Congresswoman Grace Jackson, Truman and Adams and the APL Review Panel” to the negative impacts Ships checked Napolitano. Coral, APL Agate and APL Japan, called that additional traffic will impose includ- The Manukai, Maunawili, Maunalei, On March 8, the SUP hosted the Har- in New York during the last four weeks ing job losses and revenue losses to the Manulani, RJ Pfeiffer, Mokihana, bor Labor Coalition meeting. On with crew turnovers in both the SUP and City, County and State. A quick fact to Lurline, Matsonia, Maui, Mahimahi, and March 15, went to the MTD Executive MFU. bring this home: an NBA franchise brings the Paint and Rigging gang. All are run- Board meeting. Patriot Contract vessels USNS in about a $120 million in revenue to the ning with few or no beefs. area it is located in. The Port of Seattle’s I learned a lot from my very first SUP Gilliland, Yano, and Waters, all called During the month, I represented the terminal 46, directly abeam of the new watch partner, Roy Tufono. Among the for sailors during this month. SUP at the Hawai’i Ports Council arena site brings in $3 billion. I represented the SUP/MFU at the fol- many things he taught me was to “re- monthly meeting; which includes the lowing meetings: the Workforce Devel- Vince O’Halloran member three things:” monthly Hawaii Ocean Safety Team opment Council at Seattle Central Col- Branch Agent 1) Always start on time and relieve on (HOST) meeting report, and the AFL- lege; the Puget Sound Marine Exchange, time; CIO Executive Board meeting. Executive Board meeting; a meeting with 2) Stick with your watch partner; and Just a quick reminder, now is the time the Transportation Institute; the King SUPPORT THE 3) Do your laundry on watch. OK, to submit any resolutions for the Consti- County Labor Council Executive Board now this was a tanker. It worked. The tution Committee which will meet in meetings; a meeting with the Washing- SUP POLITICAL point being, the older SUP guys should June. You have until June’s branch meet- ton State Labor Council and members of teach the new SUP guys the “SUP ings to submit any resolutions, in writ- the environmental community on the pro- style.” ing, but it never hurts to turn to them in posed “Gateway Pacific” grain and coal FUND Mark Hurley early. This also includes shipping rules terminal at Cherry Point; resolutions. Mahalo, Branch Agent Michael Dirksen, Branch Agent U.S.-flagged vessels available to transport strategic petroleum Costa Concordia captain to The following article was released last month by American Maritime Partnership, a broad-based coalition of U.S.-flag maritime industry interests. The Sailors’ Union remain under house arrest of the Pacific is a member of American Maritime Partnership. On April 10, the highest court in Italy ruled that the infamous Costa Concordia In a letter to the Departments of Homeland Security (DHS), Energy (DOE) and cruiseship captain, Francesco Schettino, is to remain under his house arrest orders Transportation (DOT), the American Maritime partnership (AMP), a broad-based until the possible criminal charges filed against him are thoroughly investigated. coalition representing U.S.-flag vessel operators and allied interests, has offered its Prosecutors insist on keeping the captain behind bars during the investigation, resources to help implement new Congressional requirements that should increase the while his lawyers fight for his freedom. He is being blamed for causing the luxury use of U.S.-flag vessels in future Strategic Petroleum Reserve (SPR) drawdowns. liner to capsize off Italy’s Giglio Island, taking the lives of over 30 people. Several circumstances could lead to another SPR drawdown soon, including an Italy’s Supreme Court, known as the Court of Cassation, met to consider Schettino’s Iranian blockade of the Strait of Hormuz and rising U.S. gas prices. There are house arrest at a closed hearing with a dozens of American vessels with millions of barrels of capacity available to trans- five-judge panel. The court was also ex- port oil, according to AMP. pected to rule on the admissibility of the Dispatcher's “AMP was troubled by the decisions during the last SPR drawdown to issue captain’s phone intercepts at the police Report waivers for foreign-flag vessels, employing foreign workers to transport oil form station following his detention right af- Headquarters—March 2012 the SPR despite the fact U.S.-flag vessels were available to assist,” said AMP. ter the shipwreck, according to CNN. “AMP recognizes that there may be circumstances where waivers of the Jones Act Allegations against Captain Schettino are necessary, but we want to work with the Departments to maximize the use of include manslaughter, causing a ship- Deck available American vessels, employing American workers, in the transportation of Bosun ...... 4 wreck, destroying a natural habitat and SPR oil should another drawdown occur.” Carpenter ...... 0 abandoning ship. The captain’s first of- The Jones Act is a long-standing U.S. maritime law that mandates the use of MM...... 5 ficer, other ship officers, and officials vessels that are American-crewed, -built and -owned to move cargo between two AB ...... 19 from the Costa firm are also being in- U.S. ports. The law is critical for American economic, national, and homeland OS ...... 1 vestigated in this case, with additional Standby ...... 12 security, which is why it has enjoyed the support of the U.S. Navy, many members allegations, including failure to report the Total Deck Jobs Shipped ...... 41 of Congress of both parties, and every president in modern history including Presi- accident. No one has yet been charged Total Deck B, C, D Shipped...... 18 dent Obama. in connection with the incident. Engine/Steward Release of oil from the SPR in 2011 resulted in nearly 50 waivers of the Jones Act, QMED ...... 0 allowing the transportation of the oil on foreign vessels when U.S.-flag vessels were The captain stands by the claim that Costa cruise line authorities instructed Pumpman ...... 0 available to assist. New Congressional law now requires DHS and DOT to comply Oiler...... 0 him to sail close to the island and has with certain requirements to maximize the use of U.S.-flag vessels for the transpor- Wiper ...... 0 tation of oil from future SPR drawdowns before Jones Act waivers are approved. denied claims that he was sailing too fast. Steward ...... 0 He has released statements that said the Specifically, the new law states that no waivers may be granted until DHS “takes Cook ...... 0 rock the ship struck was not indicated adequate measures to ensure the use of United States flag vessels” and no waivers Messman ...... 0 on his charts of the area. He has been may be granted unless DOT has determined whether U.S.-flag vessels are capable Total E&S Jobs Shipped ...... 0 Total E&S B, C, D Shipped ...... 0 of assisting an SPR move. DOT is now required to provide DHS with written under house arrest at his home since January. Total Jobs Shipped - All Depts. ... 41 justification for not using U.S.-flag vessels during an SPR drawdown. Total B, C, D Shipped-All Depts. . 18 Currently, 30 bodies have been recov- To ensure that the federal government has adequate measures in place to utilize Total Registered “A” ...... 26 U.S.-flag vessels, the department are statutorily required to consult with represen- ered from the shipwreck, 25 have been Total Registered “B” ...... 17 tatives of the U.S.-flag maritime industry. AMP believes that such consultations identified and five are still in process of Total Registered “C” ...... 17 with industry should begin immediately. identification. Two people are missing. Total Registered “D” ...... 36